Bloomberg News reports that Japan's Financial Services Agency ordered the Mizuho Bank Ltd. lending unit to suspend new transactions through its consumer credit affiliates for a month, the regulator said in a statement in Tokyo Thursday that also announced other measures.
Tsukamoto will step down at the end of March, the bank said in a separate statement.
The new measures add to the regulator’s September order directing Mizuho to strengthen compliance after it failed to stop 200 million yen ($2 million) in credit extended to members of anti-social groups through an affiliate. Mizuho cut pay for executives including President Yasuhiro Sato and submitted a plan on October 28th to the agency outlining measures to improve internal controls.
Mizuho President Yasuhiro Sato apologized at a news conference in Tokyo for the bank receiving the extra penalties.
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